Sprinklr, a marketing technology company based in Midtown, boosted its revenue by 27% last quarter, according to the firm’s first earnings report since its initial public offering in June.
The company, which sells software for businesses to manage online marketing campaigns, had debuted on the New York Stock Exchange in June with a $16 share price, below its target range of $18, and had slumped below that price by the end of August. The slow start from the IPO came as investor interest was boosting the market values of companies similarly making software for businesses.
The firm’s total revenue was $119 million between May and the end of July, compared to $94 million for the same period last year.
Its share price fell about 2.5% on the earnings as of noon Friday, which showed a net loss that had grown from $11 million in the first quarter of the year to $33 million this quarter.
Sprinklr’s share price has increased just under 20% since the start of September, however, despite the slide on Friday. It has a market value of $4.7 billion.
The company describes its software as a customer experience management platform. Like a massive online feedback box, it tracks the many places customers leave online feedback and uses data tools and artificial intelligence to help coordinate marketing campaigns. Clients include Netflix, Samsung, Microsoft and TikTok.
Sprinklr has 74 customers paying $1 million or more for subscriptions to its software, according to its earnings, up 23% from this time last year.
An analysis by technology industry news site The Information found that Sprinklr had one of the weakest IPO performances among enterprise software companies—those that sell their product to businesses. Sprinklr had lost 2% of its share value compared to its launch in June, a significant contrast from Monday.com which saw a 162% growth over the same period. Monday, which was founded in Israel and has a New York office, sells project management software to businesses.
With the recent upswing, Sprinklr is now trading at a roughly 8% increase from its IPO share price.
Ragy Thomas, who founded Sprinklr from his home in New Jersey in 2009, said the company paused hiring for its sales staff and other expenses in 2020 when Covid-19 first hit and has been seeing revenue increase as hiring returned, starting late last year.
“We are trying to be here for the long run, not a flash-in-the-pan,” Thomas said on the earnings call Thursday. “So now [what] you are seeing is a continued investment, we have unpaused our expense and are building back up.”